Life insurance companies are weighing up discounts on premiums for customers who are vaccinated against COVID-19, while health insurers are offering reward points to those who have received the jab.
Australian laws prevent health insurers from discounting premiums based on their members’ health, but they can offer other rewards to encourage customers to get vaccinated.
Life insurance companies can go a step further and discount premiums based on customers’ health and preventative behaviours, such as whether they have been vaccinated against COVID-19.
A spokeswoman for life insurer TAL said it was considering offering premium discounts to customers who had been vaccinated against coronavirus. The insurer currently runs a program that offers discounts of up to 15 per cent to customers who have a body mass index between 19 and 28 and undertake preventative screening tests.
“At this time, we have not extended that program to COVID-19 vaccinations, however it is something we are considering,” she said.
Life insurer Zurich is also investigating discounts for customers who have been vaccinated against COVID, while AIA is offering rewards points for its fully vaccinated health and life insurance customers. These points can unlock insurance premium discounts, movie tickets, flights and gift cards and they are also offered to people who are vaccinated against the seasonal flu.
Earlier this month, health insurer Medibank announced it would offer 1000 rewards points to fully vaccinated customers, with the points able to be used on smart watches, vouchers or remedial massages.
Professor Gail Pearson, a consumer law expert at the University of Sydney, welcomed any move to reduce life insurance premiums for customers who have been vaccinated against coronavirus.
“I think it’s a good thing, particularly if it is from a community benefit point of view,“she said.